Get Off the Sidelines! Click Below To Open A TD Account:

Learn From The Best At TheoTrade:

Equities

Friday summary: Banks (JPM, WFC, C) all beat thanks in no small part to strong fixed income trading results. Yay. Deutsche Bank won’t be getting a government bailout (or at least that’s what Berlin is saying on Friday). Oh, no. Money market reform went into effect presumably making the system safer (yay) but removing nearly $1…
Keep Reading

Deutsche Bank’s Joseph LaVorgna has a mystery for you to solve. I’ve highlighted it in the chart below: (Chart: Deutsche Bank) Here’s what he has to say: “The most recent data on capital expenditures have been largely disappointing. Real nonresidential fixed investment spending (capex) has declined in two of the last three quarters and is…
Keep Reading

Economists these days are increasingly sure they can “smooth out” the business cycle rather than just forestall the inevitable. They are wrong. And they’ve been proven so time and again. “Smoothing out the business cycle” just means destroying creative destruction thus not allowing the system to purge itself of misallocated capital thereby leading to even…
Keep Reading

A strange thing has happened in the central bank-controlled post-crisis world. Equities have become akin to bonds and bonds akin to equities. That is, the risk is in fixed income, whereas equities have become a shadow of their former selves, exhibiting low volatility and reliable returns. How long will this perversion last? How long, considering…
Keep Reading

Earlier this week, we brought you Sen. Elizabeth Warren’s epic takedown of Wells Fargo CEO John Stumph who presided over a scam that saw the bank create “phantom accounts” to boost their “cross-selling numbers.” Frankly, Warren’s criticism is virtually ironclad, but here to defend Wells Fargo is Priyank Gandhi, assistant professor of finance at the University…
Keep Reading

Earlier, we brought you a hilarious video of clip on Sen. Elizabeth Warren’s Capitol Hill grilling of Wells Fargo CEO John Stumph in connection with a scandal at the bank involving the creation of so-called “phantom accounts.” Below, find the full transcript in all its scathing glory. ************ Warren: Thank you, Mr. Chairman. Mr. Stumpf,…
Keep Reading

Are you, like us, worried that a rather nasty correction (i.e. a bear market or worse) could be right around the corner as the market’s faith in central banks fades away completely and as the only thing making stocks look “cheap” is the fact that the equity-risk premium no longer matters thanks to sub-zero bond…
Keep Reading

What did we say last week in our popular post “Bridgewater Thanks You For Your Service, But They’ll Be ‘Renovating’ You Soon“? Don’t remember? That’s ok, we’ll remind you: “Oh, and get this all wrapped neat and tight before cross asset correlation relegates risk-parity to annals of hedge fund history.” Yeah, well check this out,…
Keep Reading

Notable Bloomberg News

*WIKILEAKS RELEASES REPORTED CLINTON/GOLDMAN SACHS TRANSCRIPTS

*Syria Talks End Without Result; Lavrov Says Resolution Discussed

*FED'S DUDLEY SAYS HE EXPECTS A RATE RISE THIS YEAR

*Fed Chair Janet Yellen said that “an accommodative monetary stance, if maintained too long, could have costs that exceed the benefits” by increasing the risk of financial instability or undermining price stability.